Many people put off long-term care planning until it’s too late. Some assume they’ll never need professional care, while others avoid thinking about it altogether. Unfortunately, by the time they do consider planning, they may no longer qualify for long-term care insurance (LTCI) due to age, health conditions, or financial constraints.
If your client has been denied LTCI or waited too long to apply, they may assume they’re out of options. The good news? It’s not too late for you to help them protect their assets—even if they’re already facing a long-term care stay.
While LTCI is an excellent tool for preparing in advance, clients who didn’t plan or don’t qualify still have ways to shield their savings. If your client is:
Then it’s time to explore alternative planning strategies.
Medicaid is the largest payer of long-term care in the U.S., but eligibility comes with strict asset limits. Clients who have too much in countable assets must first spend down before qualifying.
That’s where a Medicaid Compliant Annuity (MCA) comes in.
An MCA is a specialized annuity designed to accelerate Medicaid eligibility by converting excess countable assets into a Medicaid-compliant income stream. This strategy allows clients to qualify for Medicaid without completely exhausting their savings.
An MCA may be a good fit for clients who:
MCAs are only for clients with an immediate care need. Unlike LTCI, they are a crisis-planning tool for those already in or about to enter a nursing home.
Each state has different Medicaid rules. Factors like marital status and state regulations influence the best planning approach.
Timing is critical. The sooner an MCA is implemented, the sooner the client can qualify for financial assistance.
If your client has missed the opportunity for LTCI, don’t let them assume they’re out of options. At Krause Agency, we specialize in a variety of senior market solutions, including Medicaid Compliant Annuities, to help clients preserve their assets and secure care. Book a call with our team to learn more!